2022 (10) TMI 134

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....olative the fundamental rights of the Petitioner on account of the taxes being shared and borne by the Petitioner post the enactment of the Goods and Services Tax Act, 2017 thereby infringing the provisions of Goods and Services Tax Act, 2017; (ii) Further be pleased to pass an appropriate order directing the Opposite Parties to restitute the benefits to the Petitioner along with interest and compensation within a stipulating period in terms of the order passed by the Hon'ble High Court under Annexure-3." 3. It is the case of the Petitioner, works contractor, that having been awarded the work "Special Repair to N.H.-143 from K.M. 0/00 to K.M. 125/800", he executed agreement bearing No. 05 P1 of 2017-18 with Executive Engineer, N....

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....ST Act"). It is further submitted by the Petitioner that the present matter is required to be considered in the light of order dated 1st February, 2021 passed by this Court in the case of Muna Pani Vrs. State of Odisha & Others, W.P.(C) No. 3465 of 2021. 4. It is submitted by the petitioner that by virtue of clause 1(iii) of Finance Department Memorandum dated 7th December, 2017 the petitioner is required to show the GST component separately in its bills in respect of works executed after 01.07.2017. This leads to additional burden of tax to be borne by the petitioner. 5. Per contra, counsel for the Opposite Parties argued that the writ petition challenging the vires of Office Memorandum dated 1st July, 2017 is not maintainable inasmu....

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....3.2019. The writ petition is disposed of accordingly." 5.1. Subsequently aforesaid direction of this Court being carried out by the authority concerned, amongst many, one of such works contractors viz. Harish Chandra Majhi, by way of petition being W.P.(C) No.14924 of 2020, challenged the Revised Guidelines vide Office Memorandum No.38535-FIN-CT1-TAX-0045-2017/F., dated 10.12.2018. This Court disposed of said case vide Judgment dated 07.06.2021 [reported as Harish Chandra Majhi Vrs. State of Odisha and others, 2021 SCC OnLine Ori 643 = (2021) 51 GSTL 113 = (2021) 93 GSTR 354 (Ori)] by observing thus: "1. The Office Memorandum dated 10 December, 2018 of the Finance Department under Annexure- 3 prescribing guidelines for ....

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....re a fresh schedule of rates considering rapidly change of rate and price and calculate the differential amount of GST on the contract in which estimate was prepared under VAT?' *** 11. The basic price of materials as per SoR-2014 was inclusive of VAT, entry tax and other tax components. Since 1 July 2017 GST is payable on the value of the contract, the value of tax components in the price of the materials in SoR- 2014 was revised and reduced by excluding such tax components prevalent during pre-GST period. As such, the revised SoR-2014 was issued on 16 September, 2017. 12. The Petitioner complains that the procedure adopted in the preparation of the revised SoR- 2014 dated 16 September, 2017 (Annexure-8) is illeg....

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....axable under the GST. The earlier SoR- 2014 issued on 10 November, 2014 was inclusive of taxes like Central Excise Duty, Service Tax, VAT, Entry Tax etc. After the GST regime only some of the tax components needed to be included. This necessitated a revision of SoR-2014 to arrive at the GST exclusive work value. The GST component is to be added to the work value. As the revised SoR is exclusive of the tax components, the estimated value of the work gets reduced to that extent. This was prepared under the recommendation of a Code Revision Committee and after verification of tax rate in the pre-GST period of each of the items including the hire charges of machineries. *** 29. In the instant case, three components of the tax,....